For political and practical reasons, environmental regulations sometimes treat point source polluters, such as power plants, di¤erently from mobile source polluters, such as vehicles. This paper measures the extent of this regulatory asymmetry in the case of nitrogen oxides (NOx), the criteria air pollutant that has proven to be the most recalcitrant in the United States. We …nd signi…cant di¤e...

We investigated the feasibilities of 2.0∘C and 1.5∘C climate targets by considering the abatement potentials of a full suite of greenhouse gases, pollutants, and aerosols. We revised the inter-temporal dynamic optimization model DICE-2013R by introducing three features as follows. First, we applied a new marginal abatement cost curve derived under moderate assumptions regarding future socioecon...

INTRODUCTION .......................................... 319 METHODS TO ESTIMATE BENEFITS ........................... 320 ESTIMATING THE BENEFITS OF ABATEMENT USING THE DIRECT METHOD ........................................ 322 Local or National Estimates? ................................. 322 Estimating the Health Effects of Air Pollution ...................... 323 Estimation of the Marginal Be...

This paper examines the effects of firm-level innovation in carbon-abatement technologies on optimal cap-and-trade schemes with and without price controls. We characterize optimal cap-and-trade regulation with price cap and price floor, and compare it to the special cases of pure taxation and simple emissions cap. Innovation shifts the tradeoff between priceand quantity-based instruments toward...

This paper studies the effects of global warming in a descriptive model of endogenous growth with multiple regions. It is assumed that deviations from the pre-industrial greenhouse gas concentration, which implies a change in the global surface temperature, negatively affect aggregate output and the marginal product of capital. The paper derives optimal abatement ratios in the non-cooperative w...

This paper presents efficient CO2 abatement levels for 135 countries and identifies reasons for the absence of worldwide greenhouse gas emission reductions. Based on individual marginal cost and benefit functions for emission abatement we compare the Pareto-optimal Samuelson solution with the Nash equilibrium. We found that the Pareto-optimal solution would require status quo world emissions to...

Firms are generally reluctant to reveal their true marginal costs for environmental abatement. Depending upon the policy instruments used by the regulator, firms may even seek to misrepresent their abatement costs in order to gain a competitive advantage. This paper shows how the regulator can induce truth revealing behavior by firms in the emission permit market. The aggregate optimal emission...